The Detroit City Council this week is expected to review two proposals for the long-stalled expansion of the city’s Cobo Center, host of the North American International Auto Show.
Both plans would require the Michigan Legislature to create a new bond-issuing authority to run the convention center, as well extending taxes on hotel rooms and liquor sales in surrounding counties through 2022 to fund the expansion and operations.
One plan would add 166,000 square feet to the center, while the other would only expand the main exhibition hall. Cost estimates of the plans vary, with one estimate coming in at $288 million and another at just under $600 million.
Cobo’s expansion is considered key to the future of the city, as the auto show is the largest economic event in southeast Michigan, estimated to bring in $500 million in annual revenues. Porsche Cars NA dropped out last year and Suzuki Motor Corp. withdrew earlier this year, citing insufficient space.
The expansion has been stalled for several years as regional politicians try to iron out the details. The key players are Gov. Jennifer Granholm, Detroit Mayor Ken Cockrel Jr., Wayne County Executive Robert Ficano, and Oakland County Executive L. Brooks Patterson.
